INTRODUCTION

Economic Development is not possible without utilizing the nation’s natural

resources. Such phenomenon will bolster economic activity, to the end of lifting our
economic status, and reaching sustainable growth for the people. Such activity is thus
beneficial for nation building, but in this economic boom, lush virgin forests are being
transformed into mining hubs, buildings are elevated as a reflection of development,
parks and urban gateways are built for tourism, as nature potentially suffers and
becomes polluted by human acts. The 1987 Constitution provides:

SECTION 16. The State shall protect and advance the right of the
people to a balanced and healthful ecology in accord with the rhythm and
harmony of nature.

SECTION 20. The State recognizes the indispensable role of the

private sector, encourages private enterprise, and provides incentives to
needed investments.

It is the law of the land that echoes the stance that economic development entails
certain administrative and juridical responsibilities, as the relationship between national
economy and environment has been a constant issue. In relation to this responsibility,
the Department of Environment and Natural Resources’ policy is to attain and maintain
a rational and orderly balance between socioeconomic growth and environmental
protection through the sustainable use, development, management, renewal and
conservation of the country’s natural resources, including the protection and
enhancement of the quality of the environment, not only for the present generation, but
for the future generation system as well. Such policy echoes the commitment of the
government to its people towards the balanced and healthful ecology.

CHAPTER I

The Philippine Environmental Impact Statement System

To reach economic development while preserving and protecting the environment,

The Philippine Environmental Impact Statement System process was promulgated
as PD 1586 in June 11, 1978, and as declared by former President Ferdinand E.
Marcos. Also known as “Establishing the Environmental Impact Statement Systems”, it
recognizes the possible adverse environmental impacts of the economic proposals that
are being initiated for economic activity, and contains policies that are in harmony to the
environmental Constitutional provisions such as the balanced and healthful ecology.
The system is designed to mitigate these harmful effects through studying,
researching, assessing, scoping, monitoring economic activities, to the end of issuing
an Environmental Compliance Commitment (ECC) document. This document must be
conformed by the proponents, as it represents their project’s Environmental Compliance
Certificate. The issuance of such certificate is a go signal for the projects to continue,
commencing project planning with the help and approval of LGU’s to start its actual
implementation.
PD 1586 is implemented through DAO 2003-30, which contains procedures in
order to ascertain as to whether or not a proposed project would require approve,
otherwise, the Certificate of Non-Coverage (CNC) is released to certify that the project
does not require ECC.

Purpose and Objective

Through the PEISS system, the government and the private sector work in unison
to attain sustainable development, while managing its environmental impacts.
It is the resounding call of the system to commit to preserve and protect the
environment, while maintaining its balance with economic development. The spirit of the
law intends not only to minimize impact, but to secure a livable and healthy environment
and economy for the future generations.
It is not surprising to enumerate and derive from the law the following aims of the
decree: a) recognition, discharge and fulfilment of the responsibilities of each generation
as trustee and guardian of the environment for succeeding generations; b) ensuring the
people of a safe, decent, healthful, productive and aesthetic environment; c)
encouraging the widest exploitation of the environment without degrading it, or
endangering human life, health and safety or creating conditions adverse to agriculture,
commerce and industry; d) preservation of important historic and cultural aspects of the
Philippine heritage, (g) attaining a rational and orderly balance between population and
resources, and (f) improving the utilization of renewable and non-renewable resources.
Furthermore, the following are the objectives of the Administrative Order: 1)
Ensure that environmental considerations have been conducted at the earliest possible
stage of the project development; 2) To streamline the current procedures for the
improvement and efficacy of Environmental Impact Assessment (EIA); 3) To enhance
maximum public participation of the EIA process towards social acceptability of the
project to ascertain its environmental impact, significant or not.
The purpose as to the early consideration of environmental conditons is as stated
in the case of Boracay Foundation vs. Province of Aklan 1. In this case, it was held that
proponents should initiate public consultations early in order to “ensure that
environmentally relevant concerns of stakeholders are taken into consideration in the
EIA study and the formulation of the management plan.” These public consultations are
to be documented and report shall be validated by the EMB/EMB RD to include as a
part of the records of the EIA process.

The Environmental Impact Statement

In lieu with the Philippine Environmental Impact Statement System (PEISS) is the
Environmental Impact Statement (EIS). It is a document prepared and submitted by the
project proponent that serves as an application for an Environmental Compliance

1
Boracay Foundation vs. Province of Aklan, G.R. No. 196870
Certificate.

In all of the projects of proponents that has significant effect to the quality of the
environment, all of the agencies and instrumentalities of the national government,
including government-owned or controlled corporations, private corporations, firms and
entities are required to comply and produce an Environmental Impact Statement
(EIS), stating that: a) the environmental impact of the proposed action, project or
undertaking; b) the adverse environmental impact which are unavoidable if the proposal
is approved and implemented; c) the alternative to the proposed action; d) that the
short-term uses of the nation’s natural resources are consistent with the maintenance
and enhancement of the long term productivity of the same; and e) that a finding must
be done that depletion of natural resources is warranted, when the project involves such
activity.
Essentially, an EIS must provide the project description, environmental baseline
study, the projected environmental impact of the project, and the proposed
environmental management plan. Each EIS must contain modules on air, water, land
and social.

The Environmental Impact Assessment Process

The assessment of the environmental impact of the proposed action, project or
undertaking as stated in the EIS shall be under the umbrella of the so-called
Environmental Impact Assessment (EIA) Process. An EIA is not merely a document but
a process that involves a comprehensive study of the significant impacts of a project on
the environment. This usually includes an Environmental Management Plan/Program
that the proponent will fund and implement to protect the environment.
When there is a need for an Environmental Impact Assessment, the following
should be the step by step processes that come into play.
 As can be readily seen, the EIA is a multi-sectoral process involving the Project
Proponent, the Department of Environment and Natural Resources – Environmental
Management Bureau (DENR-EMB), other agencies of the government like the LGU’s
and even public sector participation.
Here is the snapshot of what happens in every step of the EIA Process.

The EIA process involves 6 stages – Screening, Scoping, EIA Study and Report
Preparation, EIA Report Review and Evaluation, Decision Making and Monitoring,
Validation, Evaluation/ Audit. During the initial phase of Screening, if it is determined
that the project is covered by the PEISS, such also helps in determining what other
requirements, procedural and documents shall be complied with.
Scoping is a proponent driven-multi sectoral process which defines the limits
and extents of the most significant issues and environmental impacts present in the
project. This is done with the local community through Public Scoping and with a third
party EIA Review Committee called Technical Scoping, both with the participation of the
DENR-EMB.
The most important in EIA Study and Report Preparation is the formulation of
Environmental Management and Monitoring Plan (EMMoP).
EIA Report Review and Evaluation normally entails an EMB procedural
screening for compliance to minimum requirements specified during Scoping. The entire
EIA review and evaluation process is summarized in the Review Process Report (RPR)
of the EMB, which includes a draft decision document.
Decision Making involves evaluation of EIA recommendations and the draft
decision document, resulting to the issuance of an ECC, CNC or Denial Letter.
 Monitoring, Validation and Evaluation/Audit stage assesses performance of
the Proponent against the ECC and its commitments in the Environmental Management
and Monitoring Plans to ensure actual impacts of the project are adequately prevented
or mitigated.
Projects Covered

Section 4 of PD 1586 provides that “No person, partnership or corporation shall

undertake or operate any such declared environmentally critical project or area
without first securing an Environmental Compliance Certificate issued by the President
or his duly authorized representative”.
An Environmentally Critical Project (ECP) are Projects or program that has high
potential for significant negative environmental impact while an Environmentally
Critical Areas (ECA) are areas delineated as environmentally sensitive such that
significant environmental impacts are expected if certain types of proposed projects or
programs are
located, developed or implemented in it.

Environmentally Critical Project and Environmentally Critical Area

As the EIS System recognizes what it states environmentally critical projects and
undertakings, PP 2146, otherwise known as “Proclaiming Certain Areas and Types of
Projects as Environmentally Critical and Within the Scope of the Environmental Impact
Statement System Established Under PD 1586 2” was promulgated on December 14,
1981. PP 2416 categorizes ECPs into the following: (1) heavy industries; (2) resource
extractive industries; and (3) infrastructure projects, and ECAs. Futhermore, PP
803, signed on June 6, 1996, proclaimed that golf-courses projects, regardless of
location, should be considered as environmentally critical. Nonetheless, below is a
summary of the present ECA and ECP:

Proclamation No. 2146, Series of 1981

ENVIRONMENTALLY CRITICAL PROJECT (ECP)
Heavy Industries
Non-ferrous Metal Industries
Iron and Steel Mills
Petroleum and Petrochemical Industries including oil and gas
Smelting plants
Resource Extractive Industries
A. Major Mining and Quarrying Projects
B. Forestry Projects
B.1. Logging
B.2. Major wood processing projects
B.3. Introduction of fauna (exotic animals in public
private forests)
B.4.Forest occupancy
B.5.Extraction of mangrove products
Fishery Projects

2
Proclamation No. 2146, s. 1981
 Dikes for/and fishpond development projects
Infrastructure Projects
Major dams
Major power plants (fossil fuelled, nuclear fuelled, hydroelectric or geothermal)
Major reclamation projects
Major roads and bridges

The construction, development, and operation of a Golf Course was declared as

an Environmentally Critical Project (Proclamation No. 803, Series of 1996).

Proclamation No. 2146, Series of 1981

ENVIRONMENTALLY CRITICAL AREA (ECA)
All areas declared by law as national parks, watershed reserves, wildlife
preserves and sanctuaries
Areas set aside for aesthetic potential tourist spots
Areas which constitute the habitat for any endangered or threatened species of
indigenous Philippine Wildlife
Areas of unique historic, archaeological, or scientific interests
Areas which are traditionally occupied by cultural communities or tribes
Areas frequently visited and/or hard hit by natural calamities (geologic
hazards, floods, typhoons, volcanic activity, etc.)
Areas with critical slopes
Areas classified as prime agricultural lands
Recharged areas of aquifers
Water bodies
Mangrove areas
Coral reefs

The Local Government Units (LGU’s)

In the case of Boracay Foundation vs. Province of Aklan 3, the court noted that
under the Local Government Code, two requisites must be met before a national project
that affects the environmental and ecological balance of the communities can be
implemented: prior consultation with the affected local communities, ad prior approval of
the project by the appropriate sanggunian. Absent either of these mandatory
requirements, the projects implementation is illegal. Local government units cannot
therefore be deemed as outside the scope of the EIS.
In Bangus Fry Fisherfolk v. Lanzanas 4, the Court explained that Congress
introduced Sections 26 and 27 in the Local Government Code to emphasize the
legislative concern for the maintenance of sound ecology and clean environment. These
require every national government agency or government-owned and controlled
corporation to hold prior consultation with the local government unit concerned and
secure the prior approval of its sanggunian before implementing any project or program
that may cause pollution, climatic change, depletion of non-renewable resources, loss of
cropland, rangeland, or forest cover and extinction of animal or plant species

Public Sector Participation

4
Bangus Fry Fisherfolk v. Lanzanas, G.R. No. 131442 July 10, 2003
 Projects, as well as industrial advances and development have significant effects
on the local population. The aim is towards the well-being of the population, but lack of
knowledge and understanding amongst the community and society at large will have
underlying consequences. More importantly, conflict between national economic
interests and the local population may arise because of the lack of idea as to how
projects will affect their community. The EIA makes certain that significant consultation
of the views of the members and representatives of community’s voices are heard, and
considered in project preparation.
Under DENR DAO 2003-30, proponents should initiate public consultations early
in order to ensure that the environment relevant concerns and stakeholders are taken
into consideration in the EIA study and the formulation of the management plan. All
public consultations and public hearings conducted during the EIA Process are to be
documented. The public hearing/consultation process report shall be validated by the
EMB/ EMB-RD and shall constitute part of the records of the EIA Process.

CHAPTER II
The Environmental Compliance Certificate

Pursuant to Section 4 of PD 1586 of the Act Establishing an Environmental

Impact System, “No person, partnership or corporation shall undertake or operate any
such declared environmentally critical project or area without first securing an
Environmental Compliance Certificate issued by the President or his duly authorized
representative”. In other words, the Environmental Compliance Certificate (ECC) serves
as the “ticket” which legally allows an entity to undertake any socio-economic activity
with environmental impact in Environmentally Critical Projects or Projects in an
Environmentally Critical Area. This also certifies that the proponent has complied with
all the requirements of the EIS System and has committed to implement its approved
Environmental Management Plan.

Salient Features of ECC

The ECC is composed of three (3) parts - The certificate of environmental
compliance commitment, which defines the scope and limits of the project, in terms of
capacity, area, technology or process; the conditions within the mandate of the EMB;
and the EIA Review Committee’s recommendations to the Proponent, as well as
suggestions to the government agencies and LGUs who have mandates over the
project so that they can integrate the EIA findings into their decision-making process.
The EIARC Chair, the EMB Chief and the EMB Director/Regional Director sign this
portion of the ECC. This last part of the ECC is formally transmitted by the DENR-EMB
to the concerned GAs and LGUs. Non-compliance to any of the conditions may be
imposed a corresponding penalty. The Proponent commits to fully comply to the ECC
through its Sworn Statement of Full Responsibility to implement the mitigation
measures. Please refer to Appendix III for a sample copy of ECC.
 ECC Validity and Expiry
Once a project is implemented, the ECC remains valid and active for the lifetime
of the project. However, an ECC expires if a project has not been implemented within
five years from ECC issuance or if the ECC was not requested for extension within
three months from the expiration of its validity.

Issuance of ECC vested in the DENR

The authority to issue ECC is vested in the President of the Philippines or his
duly authorized representative which is the DENR. This is pursuant to Section 4 of PD
No. 1586.Accordingly AO No. 42 issued by the President, vests upon the DENR
Secretary as alter ego of the President, the power to grant or deny ECC on behalf of the
President. S The same law also designates the EMB Central and Regional Director as
approving authorities for certain types of ECC.
Clearly, the LGU’s, administrators of declared area management do not have the
authority to issue ECC.
The Certificate of Non-coverage

A Certificate of Non-Coverage (CNC) certifies that, based on the submitted

Project Description Report, the project is not covered by the EIS System and is not
required to secure an ECC. Further, the CNC advises the Proponent on coverage to
other requirements by other DENR offices, LGUs or other government agencies.
The issuance of ECC/CNC is not an act that is purely ministerial in nature but
one that involves the exercise of judgement and discretion by the EMB Director or
Regional Director, who must determine whether the project or project area is classified
as critical to the environment based on the documents to be submitted by the applicant.
(Law on Natural Resources and Rules of Procedure for Environmental Cases by Justice
Oswaldo D. Agcaoili, p.513). Based on the Supreme Court Decision on 12 September
2002 (DENR Region XI vs. City of Davao, G.R. #148622), DENR-EMB cannot require
an ECC or deny a CNC application for a project that is confirmed to be not an ECP and
not within an ECA. It is ministerial upon DENR-EMB to issue the CNC upon application
by a Proponent.

Procedures for ECC and CNC Application

ECC Application
The first step in securing an ECC from DENR-EMB entails that the proponent
undertakes an EIA Study and Report Preparation, with the assistance of its EIA
Preparer Team. Here, the DENR-EMB personnel may clarify procedural and technical
matters on but is not allowed to take part in the study or in the preparation of the report.
Next is EIA Review and Evaluation which includes procedural screening and
substantive review. In procedural screening the proponent must submit one (1) copy of
EIA Report and filled-out Procedural Screening portion of the SPSC (Scoping and
Procedural Screening Checklist). Within three (3) days from receipt of the EIA Report,
the Screening Officer validates the procedural screening by the Proponent. Non-
conforming document will be returned and if conforming, the Proponent will be notified
of the acceptance by furnishing him a copy of the validated procedural screening portion
of the SPSC duly signed by the Screening Officer.
Proponent will also be instructed to pay the filing fee, set up the Review Fund,
and show the receipt to the EMB Case Handler to initiate the processing of the
document. The Proponent together with the DENR-EMB Fund Manager then enters
into a MOA. Thereafter, the Proponent will submit the procedurally accepted application
documents.
As regards, substantive review process, it shall include: review proper by EMB,
site visit, and draft of EIARC recommendations. As to review proper, the EIARC will
individually review the EIA Report and fills up the Pro-forma Additional Information (AI)
Request for submission before or during the first Review Team Meeting. Generally,
there must be a site visit but there are projects which are not covered by this, one of
which is an Offshore Project.
The third step involves the endorsement of recommendations in which the
EIARC Chair signs EIA Findings and Recommendations to the Proponent on issues
both within the EMB/DENR mandate and those within the jurisdiction of other concerned
LGUs.
The last step in the process is the signing off and issuance of documents.
Thereafter, the EMB transmits the ECC to concerned LGUs with mandate on the project
for integration of recommendations into their decision-making process.

CNC Application

The steps involved in securing a CNC mirrors that of ECC application with tiny
differences which shall be as follows:
First, Proponent has to provide Project Description (PD) Report. Here, the
Proponent has the full control and may undertake the EIA Study, with or without the
assistance of an EIA Preparer. Again, DENR-EMB personnel may clarify procedural and
technical matters but is not allowed to take part in the study or in the preparation of the
report.
Second is the PD Report Review and Evaluation which consists of procedural
screening and substantive review. In procedural screening, the Proponent must
submit to EMB one (1) hard copy of the PD Report and within one (1) day from receipt
thereof, the Screening Officer validates the completeness of said report to ensure the
information is sufficient to make a decision on the application. Non-conforming
document will be returned and if conforming, the Proponent will be instructed to pay the
filing fee and show the receipt to the EMB Case Handler to initiate the processing of the
document. Substantive Review shall consist of the following: review proper of EMB,
optional site visit, and daft of recommendation document. In review proper, the EMB
Case Handler solely reviews the application while Site Visit is optional. The Draft of
Recommendation Document shall be prepared and submitted by the EMB CH to the
EIA Division Chief within two (2) working days from last activity.
Third, the Endorsement of Recommendation. Here, the EMB CO (Central
Office) Chief or EMB RO (Regional Office) Chief will endorse the decision document to
its corresponding Directors within 3 working days from the last activity.
Fourth, is the Signing off/Issuance of Document by the EMB CO Director or
EMB RO Director within 4 working days from last activity. If no decision is made within
the specified time, the CNC application is deemed automatically approved and the
approving authority shall issue the CNC within five (5) working days after the prescribed
processing timeframe has lapsed.
Finally, is the Transmittal of CNC Document in which the EMB transmits the
CNC to concerned DENR office, and LGUs concerned with mandate on the project for
integration of recommendations into their decision-making process.

Amendments of the Environmental Compliance Certificate

Amending the ECC is allowed under the law and the amendment may either be
of minor or major amendment.
Minor Amendments

WHAT ARE MINOR AMENDMENTS?

1. Typographical error
2. Extension of deadlines for submission of post-ECC requirement/s
3. Extension of ECC validity
4. Change in company name/ownership
5. Decrease in land/project area or production capacity
6. Other amendments deemed “minor” at the discretion of the EMB CO/RO
Director

The Proponent must within three (3) years from ECC issuance (for projects not
started) or at any time during project implementation, prepare and submit to the ECC-
endorsing DENR-EMB office a Letter-Request for ECC amendment, including
data/information, reports or documents to substantiate the requested revisions. The
ECC-endorsing EMB office will assign a Case Handler to evaluate the request. The
ECC-endorsing Authority will then decide on the Letter Request, based on Case
Handler (CH) recommendations. The maximum processing time for the Issuance of
Decision for both EMB CO and EMB CO is seven (7) working days.
 Legend:
  Proponent-driven
  DENR-EMB driven
Proponent-driven but outside the EIA Process as requirements are
  under the mandate of other entities
Public involvement, which typically begins at scoping but may occur
  at any stage of the EIA process

Major Amendments

WHAT ARE MAJOR AMENDMENTS?

1. Expansion of project area w/in catchment described in EIA
2. Increase in production capacity or auxiliary component of the original project
3. Change/s in process flow or technology
4. Addition of new product
5. Integration of ECCs for similar or dissimilar but contiguous projects (NOTE: ITEM #5 IS PROPONENT’S
OPTION, NOT EMB’S)
6. Revision/Reformatting of ECC Condition
7. Other amendments deemed “major” at the discretion of the EMB CO/RO Director /Reformatting of ECC
Conditions

Legend:
  Proponent-driven
  DENR-EMB driven
Proponent-driven but outside the EIA Process as requirements are under
  the mandate of other entities
Public involvement, which typically begins at scoping but may occur at any
  stage of the EIA process
 The Proponent must within three (3) years from ECC issuance (for projects not
started) or at any time during project implementation, prepare and submit to the ECC-
endorsing DENR-EMB office a Letter-Request for ECC amendment, including
data/information, reports or documents to substantiate the requested revisions. For
projects that have started implementation, EMB evaluates the request. The
documentary requirements may range from a Letter-Request to an EPRMP to the EMB
CO/RO while for those with Programmatic ECC, a PEPRMP may need to be submitted
to the EMB CO to support the request. It is important to note that for operating projects,
the appropriate document is not an EIS but an EIA Report incorporating the project’s
historical environmental performance and its current EMP, subject to specific
documentary requirements for every modification scenario. Thereafter, it must be
determined whether it is an EPRMP/PEPRMP based request. For EPRMP/PEPRMP–
based requests, EMB forms a Technical/Review Committee to evaluate the request and
for a non EPRMP/PEPRMP–based requests, the Case Handler may solely undertake
the evaluation. The ECC-endorsing/issuing Authority will then decide on Letter-
Requests/EPRMP/PEPRMP/Other documents based on EMB Case Handler CH) and/or
Tech//Review Committee recommendations.

Application Process for Relief from ECC Commitments

The following are the 3 possible scenarios for request for relief of ECC:
1) For projects which were never implemented
2) For projects which were issued ECC but are currently classified as “not covered”
3) For projects which have commenced implementation and terminated (e.g. has been
completed, will be abandoned, for decommissioning)
For the third scenario, ECC conditions and commitments are finally relieved from
compliance by the Proponent only upon validation by EMB of the successful
implementation of the environmental aspects/component of the Proponent’s
Abandonment/ Rehabilitation/ Decommissioning Plan. This precondition for ECC validity
plies to all projects including those wherein ECC expiry dates have been specified in the
ECC.
 For the scenario 1 and 2, the Proponent shall prepare and submit to ECC issuing
DENR-EMB office a Letter-Request, containing details about the project and the basis
for requesting the relief. Upon receipt thereof, the receiving office must assign a Case
Handler to handle, evaluates the request and replies to Proponent. Replies shall be
made within 30 days for applications at the EMB RO and within 45 days for those
received at the EMB CO. Then, the Proponent must complete the requirements, if any
and informs the DENR. The DENR-EMB will then verifies compliance with the
requirements set forth; if the Proponent complies, the DENR-EMB will issue an official
letter relieving the Proponent from complying with ECC commitments if not then the
DENR-EMB will deny the relief until requirement is satisfactorily completed.
As regards scenario 3, the Proponent must within six months prior to its
completion/abandonment of the project, prepares and submits to the ECC-issuing
DENR-EMB office, a Letter-Request containing details about the project, the basis for
requesting the relief, including an Abandonment, Rehabilitation and/or
Decommissioning Plan. Upon receipt thereof, the receiving office assigns a Case
Handler (CH) to handle the request, and in the case of EIS-based Projects, shall avail of
a 3rd party expert (EIARC) or Technical Committee (TC), to evaluate and replies to
Proponent (30 days for RO, 45 days for CO). Upon the EMB approval of the
environmental aspects/component of the Abandonment/, Rehabilitation and/or
Decommissioning Plan within the EMB mandate, the Proponent will carry out the Plan
and informs DENR-EMB. Thereafter the DENR-EMB will verify compliance. If the
Proponent complies, the DENR-EMB will issue an official letter relieving the Proponent
from complying with ECC commitments, if not, then the DENR-EMB will deny the relief
until requirement is satisfactorily completed.

COMPLIANCE MONITORING
PENRO to Monitor Compliance
The primary purpose of compliance monitoring is to ensure the judicious
implementation of sound and standard environmental quality during the development
stage of a particular project.
The PENRO is tasked to monitor the project proponent’s compliance with the
conditions stipulated in the ECC with support from the DENR regional office and the
Environmental Management Bureau.

Monitoring for Projects issued with ECC

A multi-partite monitoring team (MMT) shall be formed immediately after the

issuance of an ECC. Proponents required to establish an MMT and shall put up an
Environmental Monitoring Fund (EMF) not later than the initial construction phase of the
project. However, for projects whose significant environmental impacts do not persist
after the construction phase or whose impacts could be addressed through other
regulatory means or through the mandates of other government agencies, the
operations of MMT may be terminated immediately after construction or after a
reasonable period during implementation. The proponent shall also conduct regular self-
monitoring of specific parameters indicated in the EMP through its environmental unit.
The proponent’s environmental unit shall submit a semi-annual monitoring report within
January and July of each year.
Monitoring for Projects issued with CNC

Projects issued CNCs are not subject to monitoring under the EIS System.
Similarly, projects issued ECCs under the old IRRs of P.D. 1586 but are now non
covered shall be relieved of their ECC commitments upon written confirmation by the
EMB provided the Proponents do not have pending accountabilities.

Specific monitoring imposed on the HLURB housing

and land development projects

The Cherry Hills tragedy is the best example of a failed monitoring compliance. In
the case of Balicas v. Fact Finding and Intelligence Bureau 5, Office of the Ombudsman,
the Court held that the supposed failure to monitor and inspect the development of the
Cherry Hills Subdivision in Antipolo, is placed in the HLURB and not in PENRO. The
Court reiterated the same position in the case of Principe v. Fact Finding and
Intelligence Bureau 6when it says that the responsibility of monitoring housing and land

5
Balicas v. Fact Finding and Intelligence Bureau, G.R. NO. 145972, March 23, 2004
6
Principe v. Fact Finding and Intelligence Bureau, G.R. No. 145973, January 23, 2002
development project is not lodge with the DENR but with the HLURB as the sole
regulatory body for housing and land development.

CHAPTER III

A project initiated without ECC – Consequence

Violations
Violations of provisions of PD 1586 and DAO 2003-30 are classified as follows:
a) Projects with or without ECCs which pose grave and/or irreparable danger to
environment, life and property wherein causes are not regulated by any specific
Environmental law
b) Projects are established and/or operating without an ECC
c) Violations of conditions of ECCs with old format referring to submission of
documents, conduct of studies and other conditions within the mandate of other
agencies
d) Projects violating ECC conditions and EMP Commitments and other procedural
requirements of the Philippine EIS System
e) Misrepresentation in the EIA Report or any other EIA documents

Fines, Penalties and Sanctions

The fines, penalties and sanctions of the Philippine EIS System are based on
Section 9 of P.D. 1586 which states that: “ Any person, corporation or partnership found
violating Section 4 of this Decree, or the terms and conditions in the issuance of the
Environmental Compliance Certificate, or of the standards, rules and regulations issued
by the National Environmental Protection Council pursuant to this Decree shall be
punished the suspension or cancellation of his/its certificate and/or a fine in an amount
not to exceed fifty thousand pesos (P50,000.00) for every violation thereof, at the
discretion of the National Environmental Protection Council.”
Imposition of fines and penalties is vested on the Directors of the EMB Central
Office or Regional Office upon persons or entities found violating provisions of P.D.
1586 and its Implementing Rules and Regulations.

Suspension of ECC

ECCs may be suspended for violation of Proponents to comply with ECC

conditions. It is noted that ECC suspension does not necessarily mean the Proponent is
absolved of its responsibility in implementing its approved Environmental Management
Plan (EMP). PD 1586 does not preclude the fact that DENR may require the Proponent
to institute environmental safeguards/measures to prevent further threat or actual
damage to the environment.

Administrative Proceedings for Cancellation of ECC’s

 DAO 96-37 provides for the separate administrative proceeding to address
complaints for cancellation of an ECC. Complaints must undergo an administrative
investigation after which the hearing officer will submit his report to the EMB Director or
the Regional Director Executive Director who will then render his decision. The
aggrieved party may file an appeal with the DENR Secretary who has authority to issue
cease and decease orders.
Cease and Desist Order

The EMB Director or the EMB-Regional Director may issue a Cease and Desist
Order (CDO) based on violations under the Philippine EIS System which cannot be
attributed to specific environmental laws and/or which present grave or irreparable
damage to the environment. Such Cease and Desist Order shall be effective
immediately. An appeal or any motion seeking to lift the Cease and Desist Order shall
not stay its effectivity. However, the DENR shall act on such appeal or motion within ten
(10) working days from filing.
Administrative Investigation
For an alleged violation to fall within the ambit of DENR EMB, said act/ scenario
must be actionable under PD 1586. Thus, possible violation includes 1) Discovery of
alleged violation from complaints and non- monitoring sources; and (2) Discovery of
violation either from: (A) Field Monitoring, (B) Field Inspection, (C) Field Surveillance
and (D) Desk Review.
The unique feature of the administrative proceeding here is that aggrieved party
may file for a second Motion for Reconsideration which is not the usual case in a regular
action nor in other summary proceedings.
Below is the flowchart showing the steps how an alleged violation is heard and
decided by the DENR-EMB. This also includes the appeal process for the losing party.
This information is also available by clicking at the worksheet here:

Administrative
Investigation.xlsx

CHAPTER IV
CONCLUSION, RECOMMENDATION & REFLECTION
Conclusion
 Abundance of natural resources in the country is both a boon and a bane. The
opportunities that these natural resources could provide for socio-economic
development, if left unregulated, its utilization will have negative environment impacts
that would likely harm both the society and economy. Moreover, environment
assessment has been globally regarded as crucial tool in achieving sustainable
development. The Philippine EIS System provides the framework and mechanism to
pursue the country’s environmental policies and goals. As part of the EIS System, EIA
has become an important process to determine the potential impacts of projects on the
environment and communities involved. Through this process, solid procedures were
outlined that must be strictly followed. Thus, simply to say, both EIS system and EIA
works hand in hand as a government’s tool for sustainable development in all aspect.

Recommendation
Due to several issues and challenges that have been observed in the lapses on
implementation, analysis of critical environment issues, lack of strategies and limited
trainings, there is still a need to improve the quality of environmental assessment in the
country in order to maximize its full potential. Further, continuous update on the
Implementing Rules and Regulation of the EISS should be made in order for the rules to
be able to respond to the demands of the changing times and be relevant with the
advent of climate change and related policies on risk reduction management. Strong
political interference should be made in positive ways to ensure successful outcome of
environmental reviews. This entails addressing the questionable practices by public
servants serve to discredit the system.

Reflections
To attain sustainable development, economic agents and natural resource
managers must strive to strike a balance between economic activities and the use of the
country’s natural resources. 
Indeed, the Philippine economy could be the next frontier, for the socio-economic
development for the nation’s natural resources are abundant, unexplored, diverse.
This development always carries with it underlying responsibilities in order to preserve
and protect the nation’s resources for the current and future generations. The PEISS
has been formalized to provide stringent identification, scoping, and monitoring of
projects that have significant impacts to the environment, as well as the well-being of
the people. The balancing of economic development, as well as mitigation of its
environmental effects brings us back to the simple idea of wealth – that is growth
necessarily cohabits with environmental consciousness, as Mahatma Gandhi says:
“Earth provides enough to satisfy every man's needs, but not every man's greed.”
APPENDICES
Definitions (Appendix I)
 Certificate, of Non-Coverage - a certification issued by the EMB certifying that,
based on the submitted project description, the project is not covered by the EIS
System and is not required to secure an ECC
 Co-located projects / undertakings- projects, or series of similar projects or a
project subdivided to several phases and/or stages by the same proponent,
located in contiguous areas.
 EMS-based EMP - environmental management plan based on the environmental
management system (EMS) standard as defined in the DAO 2003-14.
 Environment - Surrounding air, water (both ground and surface), land, flora,
fauna, humans and their interrelations.
 Environmental Compliance Certificate (ECC) is the document issued by
DENR/EMB after a positive review of an ECC application. It certifies that the
proposed project of proponent or undertaking will not cause significant negative
environmental impact. The ECC also represents that proponent has complied
with all of the requirements imposed by the EIS System, and has committed to
implement its approved Environmental Management Plan. The ECC contains
measures and conditions that seeks to mitigate the identified environmental
impacts.
 Environmental Compliance Certificate (ECC)- document issued by the
DENR/EMB after a positive review of an ECC application, certifying that based
on the representations of the proponent, the proposed project or undertaking will
not cause significant negative: environmental impact. The ECC also certifies that
the proponent has complied with all the requirements of the EIS System and has
committed to implement its approved Environmental Management Plan. The
ECC contains specific measures and conditions that the project proponent has
to undertake before and during the operation of a project, and in some cases,
during the project's abandonment phase to mitigate identified environmental
impacts.
 Environmental Compliance Certificate (ECC)- document issued by the
DENR/EMB after a positive review of an ECC application, certifying that based
on the representations of the proponent, the proposed project or undertaking will
not cause significant negative: environmental impact. The ECC also certifies that
the proponent has complied with all the requirements of the EIS System and has
committed to implement its approved Environmental Management Plan. The
ECC contains specific measures and conditions that the project proponent has to
undertake before and during the operation of a project, and in some cases,
during the project's abandonment phase to mitigate identified environmental
impacts.
 Environmental Guarantee Fund (EGF) - fund to be set up by a project
proponent which shall be readily accessible and disbursable for the immediate
clean-up or rehabilitation of areas affected by damages in the environment and
 the resulting deterioration of environmental quality as a direct consequence of a
project's construction, operation or abandonment. It shall likewise be used to
compensate parties and communities affected by the negative impacts of the
project, and to fund community-based environment related projects including, but
not limited to, information and education and emergency preparedness
programs.
 Environmental Impact Assessment (EIA) is the process that involves
evaluating and predicting the likely impacts of a project (including cumulative
impacts) on the environment during construction, commissioning, operation and
abandonment. It also includes designing appropriate preventive, mitigating and
enhancement measures addressing these consequences to protect the
environment and the community's welfare. The process is undertaken by, among
others, the project proponent and/or EIA Consultant, EMB, a Review Committee,
affected communities and other stakeholders.
 Environmental Impact Assessment (EIA) - process that involves evaluating
and predicting the likely impacts of a project (including cumulative impacts) on
the environment during construction, commissioning, operation and
abandonment. It also includes designing appropriate preventive, mitigating and
enhancement measures addressing these consequences to protect the
environment and the community's welfare. The process is undertaken by, among
others, the project proponent and/or EIA Consultant, EMB, a Review Committee,
affected communities and other stakeholders.
 Environmental Impact Assessment Consultant - a professional or group of
professionals commissioned by the proponent to prepare the EIS/IEE and other
related documents. In some cases, the person or group referred to may be the
proponent's technical staff.
 Environmental Impact Assessment Review Committee (EIARC) - a body of
independent technical experts and professionals of known probity from various
fields organized by the EMB to evaluate the EIS and other related documents
and to make appropriate recommendations regarding the issuance or non-
issuance of an ECC.
 Environmental Impact Statement (EIS) - document, prepared and submitted by
the project proponent and/or EIA Consultant that serves as an application for an
ECC. It is a comprehensive study of the significant impacts of a project on the
environment. It includes an Environmental Management Plan/Program that the
proponent will fund and implement to protect the environment.
 Environmental Impact Statement (EIS) - document, prepared and submitted by
the project proponent and/or EIA Consultant that serves as an application for an
ECC. It is a comprehensive study of the significant impacts of a project on the
environment. It includes an Environmental Management Plan/Program that the
proponent will fund and implement to protect the environment.
 Environmental Management Plan/Program (EMP) - section in the EIS that
details the prevention, mitigation, compensation, contingency and monitoring
measures to enhance positive impacts and minimize negative impacts and risks
of a proposed project or undertaking. For operating projects, the EMP can also
be derived from an EMS,
 Environmental Management Systems (EMS) - refers to the EMB PEPP EMS
as provided for under DAO 2003-14, which is a part of the overall management
system of a project or organization that includes environmental policy,
organizational structure, planning activities, responsibilities, practices,
procedures, processes and resources for developing, implementing, achieving,
reviewing and maintaining an improved overall environmental performance.
 Environmental Monitoring Fund (EMF) -fund that a proponent shall set up after
an ECC is issued for its project or undertaking, to be used to support the
activities of the multi-partite monitoring team. It shall be immediately accessible
and easily disbursable.
 Environmental Performance - capability of proponents to mitigate
environmental impacts of projects or programs.
 Environmental Performance Report and Management Plan (EPRMP) -
documentation of the actual cumulative environmental impacts and effectiveness
of current measures for single projects that are already operating but without
ECC's, i.e., Category A-3. For Category B-3 projects, a checklist form of the
EPRMP would suffice.
 Environmental Risk Assessment (ERA) - assessment, through the use of
universally accepted and scientific methods, of risks associated with a project. It
focuses on determining the probability of occurrence of accidents and their
magnitude (e.g. failure, of containment or exposure to hazardous materials or
situations.)
 Environmentally Critical Area (ECA) - area delineated as environmentally
sensitive such that significant environmental impacts are expected if certain
types of proposed projects or programs are located, developed or, implemented
in it.
 Environmentally Critical Project (ECP) - project or program that has high
potential for significant negative environmental impact.
 Initial Environmental Examination (IEE) Checklist Report - simplified
checklist version of an IEE Report, prescribed by the DENR, to be filled up by a
proponent to identify and assess a project's environmental impacts and the
mitigation/enhancement measures to address such impacts.
 Initial Environmental Examination (IEE) Report - document similar to an EIS,
but with reduced details and depth of assessment and discussion.
 Multipartite Monitoring Team (MMT) - community-based multi-sectoral team
organized for the purpose of monitoring the proponent's compliance with ECC
 conditions, EMP and applicable laws, rules and regulations.
 Procedural Review - phase in the ECC application review process to check for
the completeness the required documents, conducted by EIAM Division at the
EMB Central Office or Regional Office.
 Process Industry - an industry whose project operation stage involves chemical,
mechanical or other processes.

(Appendix II)
Flowcharts

Summary of EIA
Process.xlsx
1. Summary of the EIA Process

ECC and CNC

Applications.xlsx
2. ECC and CNC Application

ECC Minor
Amendments.xlsx
3. Ecc Minor Amendments

ECC Major
Amendments.xlsx
4. ECC Major Amendments

ECC Request for

Relief.xlsx
5. ECC Request for Relief

Administrative
Investigation.xlsx
6. Administrative Investigation

(Appendix III)
Sample ECC